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Yes, the YCVC investments this batch are going to be on safes instead of notes.
by pg 13y ago
Yes, the YCVC investments this batch are going to be on safes instead of notes.
- vasilipupkin 13y agoSo, since there is no qualifying event, investors could get stuck without any ownership for a while. for YC this is most likely a non-issue, but most other investors won't be able to, thus providing YC with a bit of extra edge in attracting great entrepreneurs. Fair assessment ?
- ksar 13y agoNot necessarily. The 'caps' on these warrants are likely to be lower to compensate investors.
- clevy 13y agoA company that never has one of the qualifying events is likely to be an extreme corner case. So an investor could end up holding a safe for a while, but for the vast majority of companies, there will be a financing or a merger / acquisition at some (or an IPO).